Friday

Dec 14, 2007 at 2:00 AM

By Joel Silverstein I&M Staff Writer

Partners in the proposed expansion of the Dreamland Theatre withdrew their Major Commercial Development application from the Planning Board Monday, saying they want to better consider the concerns of the theater’s neighbors and the Steamship Authority before moving forward.

According to attorney Paul Jensen, the Boston group, including developer Haim Zahavi and former state Sen. Marty Reilly, will work to submit a new application next month, with a scaled-down version of what was originally proposed as a 298-seat restaurant on Easy Street – the portion of the application that drew the most criticism from opponents, particularly the Steamship Authority.

“We are in the process of taking counsel from the Planning Board, scaling back the restaurant at this time,” Reilly said Monday. He could not be reached for further comment this week.

In a nine-page letter sent to the Planning Board at the end of March, the SSA argued that the addition of a 298-seat restaurant at the rear of the theater property between South Water and Easy streets would cause even more stressful traffic snarls than presently exist, particularly around arrival and departure times at the Nantucket terminal, and could prevent passengers from reaching their boat on time.

The SSA asked the Planning Board to deny the project developer’s requests for waivers from open space, parking and off-street loading space requirements, as well as a request to waive the preparation of a traffic study.

News of the decision to withdraw the application and downsize the project came as a welcome surprise to Flint Ranney, Nantucket representative on the Steamship Authority. “I think that it’s good that they’re doing that because maybe they could work with the community a little better to decide what’s more appropriate,” Ranney said Wednesday. Anything that would preclude the loss of parking would be good, from a Steamship Authority perspective, Ranney said.

“Because loss of parking creates more traffic,” he said.

Zahavi and Reilly’s consortium bought the 175-year-old Dreamland earlier this year for $6 million from the four families that have owned the deteriorating building for decades. The Historic District Commission approved their plans to both preserve and expand the building by adding seats to the theater, converting the first floor of the structure into a multi-purpose performing arts venue with four high-end residential condominium units on the second and third floors. The developers also envision a theater that will stay open year-round, and feature theatrical productions, musicals, small concerts, comedy acts, and, of course, the latest box office movies.

Under the original plan, the rear of the building would have been extended toward Nantucket Harbor to accommodate the 2,600 square-foot restaurant with views of the Easy Street Basin. To make room for the restaurant, the small paid parking lot at the back of the property would have been reduced to six reserved parking spaces in a crushed shell lot. The mezzanine level of the theater is proposed to include a cafe lounge, a bar lounge, a tiered balcony structure as well as a lap pool and two offices.

In other Planning Board news Monday, the public hearing for the proposed post office on Pleasant Street was closed Monday. An approval of the project hinges on the abutter, Pacific Bank’s permission on parking concessions, Senior Planner Andrew Vorce said. Pacific Bank president Joel Brown has forwarded plans to parent company Bank of America’s facilities staff for review, and is still awaiting their comments, he said.

“I have no reason to believe we won’t be proceeding from that,” Brown said.

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